NTT Com to acquire a controlling stake in India’s leading data centre services provider
The acquisition of a 74% stake in Netmagic Solutions will fuel NTT Com’s ambition to provide one-stop ICT services in the fast-growing Indian market.
Netmagic Solutions operates seven carrier neutral data centres in major Indian cities, including Mumbai, Chennai, Noida and Bangalore, providing collocation and managed hosting services to over 1,000 customers. It also provides ISP and cloud services.
The acquisition is subject to the approval of the relevant authorities in India. NTT Com has announced that if the sale is approved, the CEO and founder of Netmagic Solutions, Sharad Sanghi, will continue in his role.
NTT Com has identified India as one of its key areas of future growth. The company aims to double its sales revenues from outside Japan by 2015, with a target of achieving global sales revenues of 1.5 trillion yen ($19.2 billion). In 2011, NTT Com registered operating revenues of 1.03 trillion yen.
NTT operates 123 data centres around the world across 20 countries, and claimed a server area of 137,000 square feet in September 2011. The acquisition of Netmagic Solutions would provide an additional 200,000 square feet of server area in India.
“This acquisition enhances our global status as the ICT partner of choice, including now in India,” said Katsumi Nakata, SVP of NNT Com. “By leveraging the complementary strengths of both companies, we will accelerate our global cloud services for the provision of high quality ICT services.”
Netmagic Solutions was named as India’s Data Centre Service of the Year 2011 by Frost & Sullivan.